Hi,
Our college currently reviewing all contract serice providers to assess whether college is required to contribute super on their behalf. We have one contractor that we are not sure whether he is a contract employee for tax and super purposes. His company named xx and Associates with his wife. He works 5 days per fortnight for our college as interim senior training advisor role.
My colleague advised as per Superannuation Guarantee Ruling 2005/1 paragraph 13 that "where an individual performs work for another party through an entity such as a company or trust, there is no employer-employee relationship between the individual and the other party for the purposes of the SGAA, either at common law or under the extended definition of employee. This is because the company or trust (not the individual) has entered into an agreement rather than the individual.�
Could you please check and advise whether our college need to hold super for this contractor?
Thanks
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